Litecoin, (LTC), is showing its best performance in five days.
- LTC shows the formation of an ascending parallel channel pattern
- As of writing, the LTC price has fallen by 0.6%
- LTC price registered 21.4% growth during 5-days straight rally
LTC is experiencing a bull run, as confirmed by the creation of a rising channel pattern that touches the key resistance at $66.
LTC has faced major resistance in the key resistance area, which hindered any bullish growth during the past few months. It also suggests that there may be a price correction.
Even if LTC prices break the resistance zone there is still much to come.
Litecoin Holds Above $53.5 Support
With major corrections taking place, the crypto market continues to suffer. These major changes will further destabilize BTC as well as other altcoins.
Litecoin suffered a retracement but the buyers’ support has enabled the altcoin stay above the $53.5 support level.
Based on CoinMarketCapLTC has fallen by 0.9% and is currently trading at $82.59 (as of press time).
Multiple times, the support level was retested which enabled bulls to return stronger in September 7.
The bullish reversal helped to sustain the buying momentum as well as the rising parallel pattern, which led to the successful recovery of LTC over the last three months.
The LTC price surged for five straight days, with as high as 21.4% growth.
Bullish momentum has reached the $66 monthly key resistance and is showing difficulty in climbing further. If there is a bearish trend reverse, it will cause a decline in the price to lift the trendline.
LTC to Experience Corrections
The upside is that if coin buyers break through the overhead key resistance zone barriers, LTC could possibly rise 6.8% before reaching the trendline.
Additionally, LTC prices could revert back to resistance and enter a bearish pattern.
The rising channel patterns that are formed can be expected to cause further downtrends. This means that the LTC prices are more likely to surpass the critical support line. It will strengthen bearish momentum.
Litecoin could experience corrections if LTC prices do not breach the key resistance level.
The 20- and the 50-day EMAs can be seen swerving inwardly, indicating that bearish momentum might be waning.
The $66 resistance is strengthened by the bearish crossover that was seen between the slopes. Litecoin’s RSI is also seen to spike higher and look bullish showing growth in investor and buyer confidence.
LTC market capital at $4.4 Billion according to the daily chart. Source: TradingView.com| Source: TradingView.com Featured image by Blogtienao. Chart from TradingView.com